How Simple Interest Works: An Example Suppose you take out a $5,000 loan at 6% interest for two years. To calculate the amount of interest you will pay, use the simple interest formula above.

To decide which type of CD is best for you, consider its value. Here’s how to calculate CD interest, helping you better manage your hard-earned money.

If a lender uses the simple interest method, it’s easy to calculate loan interest. You will need your principal loan amount, interest rate and loan term to calculate the overall interest costs.

A simple technique to convert a lease's finance chart into a more meaningful annual interest rate.

Are you planning to borrow money for a car, house, or personal expense? Grab a loan calculator; it helps you budget.